Post on 01-Apr-2018
CONFIDENTIAL
May 2010
CEMENT & LIMESTONEA Presentation
byV S Bajaj
Jaiprakash Associates Limited
id1885984 pdfMachine by Broadgun Software - a great PDF writer! - a great PDF creator! - http://www.pdfmachine.com http://www.broadgun.com
CONFIDENTIAL
INDIA - ON GROWTH PATH
It is a matter of great pride for all Indians to be part of country�sdevelopment over the last 50 years, more so in the last 10 years.
We are witnessing Industrial growth, adoption of newertechnologies in agriculture sector, development in IT sector andlately emphasis given to the Infrastructure sector.
Cement & Steel have played an Important role in infrastructuredevelopment of the nation.
It is believed that this is only the beginning and we have to go along way on this growth path to ensure each and every citizen ofthe country enjoys the fruits of development.
CONFIDENTIAL
OUR STRENGTHS
Strong Cultural Base
Human Resource with Large base of Educated & Skilled Manpower
Strong Knowledge Base
Vast mineral resources
Willingness to Adopt and Pragmatic use of Newer Technologies
Almost Self Sufficiency in Agriculture produce
Large consumer base reducing dependency on Exports for our produce
CONFIDENTIALCEMENT MANUFACTURING & LIMESTONE RESERVES
India is the second largest cement producer in the world but stillhas per capita consumption about 150 as compared to worldaverage of about 400 - A Huge Potential
Pan-India cement manufacturing capacity is 258 Mn Tons perannum - An Exponential Growth over the last 4 to 5 years
Cement consumption in the country has been growing @10% perannum in the last few years. This growth pattern is expected to bemaintained
Cement grade limestone, the main raw material for cementmanufacture is abundantly available � Current Reserves areestimated at about 110,000 Mn Tons
CONFIDENTIAL
GROWTH IN CEMENT INDUSTRYGROWTH IN CEMENT INDUSTRY
219.17
181.61
150
200
250
Mn
.t.
Capacity
Cem ent Production
29.22
20.91
0
50
100
19
81
-82
19
84
-85
19
89
-90
19
90
-91
19
91
-92
19
92
-93
19
93
-94
19
94
-95
19
95
-96
19
96
-97
19
97
-98
19
98
-99
19
99
-00
20
00
-01
20
01
-02
20
02
-03
20
03
-04
20
04
-05
20
05
-06
20
06
-07
20
07
-08
20
08
-09
Y ear s
Mn
.t.
CONFIDENTIAL
GDP/CEMENT GROWTHGDP/CEMENT GROWTH
7.1 2
1 1.1 1
8 .2 5 8 .407 .94
15 .40
9.6 7
8.6 7
5 .8 3
8 .09
1 0 .14 10 .16 9.8 3
8.5 1
7.3 0 7.3 07 .8 0
8 .5 0
7 .50
9 .50 9 .709.0 0
6
8
10
12
14
16
18
Pe
rce
nta
ge
C em e nt C ons um pt io n G row th
G D P G row t h
5 .8 37.3 0 7.3 0
7 .8 0
4 .80
6 .50 6 .10
4 .4 0
5.8 0
3.8 0
7 .506.7 0
- 1.9 2
-4
-2
0
2
4
6
199
4-95
199
5-9
6
199
6-9
7
19
97-9
8
1998
-99
199
9-00
200
0-01
200
1-02
200
2-0
3
200
3-0
4
20
04-0
5
2005
-06
200
6-07
200
7-08
200
8-09
Ye a rs
Pe
rce
nta
ge
CONFIDENTIAL
CEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- NORTHERN REGIONNORTHERN REGIONCEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- NORTHERN REGIONNORTHERN REGION
0.50, 1%
0.20, 0%
4.75, 8%
2.47, 4%
2.20, 4%
11.90, 20%
UTTARAKHAND
HARYANA
PUNJAB
6
11.90, 20%
36.27, 63%
PUNJAB
RAJASTHAN
HIMACHAL PRADESH
DELHI
JAMMU & KASHMIR
TOTAL CAPACITY � 58.29 Mn Tons
CONFIDENTIAL
CEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- EASTERN REGIONEASTERN REGIONCEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- EASTERN REGIONEASTERN REGION
0.20, 1%
14.21, 36%
5.54, 14%
1.00, 3%
1.55, 4%
ASSAM
MEGHALAYA
BIHAR
7.55, 19%
8.92, 23%
14.21, 36% BIHAR
JHARKHAND
ORISSA
WEST BENGAL
CHHATTISGARH
TOTAL CAPACITY � 38.97 Mn Tons
CONFIDENTIAL
0.62, 1%
39.21, 41%
20.29, 22%
ANDHRA PRADESH
CEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- SOUTHERN REGIONSOUTHERN REGIONCEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- SOUTHERN REGIONSOUTHERN REGION
33.26, 36%
TAMIL NADU
KARNATAKA
KERALA
TOTAL CAP ACITY � 93.38 Mn Tons
CONFIDENTIAL
CEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- WESTERN REGIONWESTERN REGIONCEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- WESTERN REGIONWESTERN REGION
15.2, 41%
22.33, 59%
GUJARAT
MAHARASTHRA
TOTAL CAPACITY � 37.53 Mn Tons
CONFIDENTIAL
9.34, 30%
UTTAR PRADESH
CEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- CENTRAL REGIONCENTRAL REGIONCEMENT PRODUCTION CAPACITY CEMENT PRODUCTION CAPACITY -- CENTRAL REGIONCENTRAL REGION
21.38, 70%
UTTAR PRADESH
MADHYA PRADESH
30.72 Mn TonsTOTAL CAPACITY � 30.72 Mn Tons
CONFIDENTIAL
CEMENT DESPATCHES CEMENT DESPATCHES -- NORTHERN REGIONNORTHERN REGION
Northern Region
2.73, 7%1.19, 3%
5.28, 14%
0.59, 2% 8.18, 21%
UKT
Haryana0.59, 2%
2.18, 6%
11.38, 28%7.17, 19%
8.18, 21% Punjab
Rajasthan
HP
Chandigarh
Delhi
J&K
TOTAL DESPATCH � 38.70 Mn Tons
CONFIDENTIAL
CEMENT DESPATCHES CEMENT DESPATCHES -- EASTERN REGIONEASTERN REGION
Eastern Region
0.07, 0%
6.97, 21%0.68, 2%
4.43, 13%
0.13, 0%
Mghlya
Chtsgarh
Tripr
WB
Manpr
Orissa
9.03, 28%
0.06, 0%6.28, 19%0.09, 0%
3.69, 11%
0.04, 0%
1.97, 6%
0.07, 0% 0.13, 0% Orissa
Nglnd
Jrhhand
Arnpd
Assam
Mizo
Bihar
33.44 Mn TonsTOTAL DESPATCH � 33.44 Mn Tons
CONFIDENTIAL
CEMENT DESPATCHES CEMENT DESPATCHES -- SOUTHERN REGIONSOUTHERN REGION
Southern Region
17.86, 31%
8.24, 15% AP
Pndchery
TN
12.32, 22%
0.1, 0%
17.61, 31%
0.47, 1%
TN
A&N
Karnatak
Kerala
TOTAL DESPATCH 56.60 Mn TonsTOTAL DESPATCH � 56.60 Mn Tons
CONFIDENTIAL
CEMENT DESPATCHES CEMENT DESPATCHES -- WESTERN REGIONWESTERN REGION
Western Region
0.49, 1%
Goa
23.93, 62%
14.33, 37%
Goa
Gujarat
Mharshtr
TOTAL DESPATCH � 38.75 Mn Tons
CONFIDENTIAL
CEMENT DESPATCHES CEMENT DESPATCHES -- CENTRAL REGIONCENTRAL REGION
Central Region
9.43, 30% UP
21.5, 70%
UP
MP
TOTAL DESPATCH � 30.92 Mn Tons
CONFIDENTIAL
CEMENT � ON GROWTH PATH
Cement industry has shown over the last 4 to 5 years that it is ableto meet the challenge posed by the added demand by buildingseveral green field & brown field projects and many of them areunder implementation
With the current growth rate, new capacity of about 20 to 25 MnTons per annum is expected to be added every year
India�s cement producing capability is expected to touch about400 Mn. tons per annum over the next 5 years
CONFIDENTIAL
LIMESTONE RESERVES IN INDIALIMESTONE RESERVES IN INDIA
Total Cement Grade Limestone Reserves are estimated at 110,907 million tons
Zone � Wise Reserves : Mn. Tons
North
(Haryana, H.P.J&K, Rajasthan, Uttrakhand, U.P) 34,775
East East
(Assam, Manipur, Meghalaya, Arunachal, Orissa, W.B., Jharkhand, 9,571
Nagaland)
West 20541
(Chhattisgarh, Gujarat, M.P., Maharashtra Diu)
South 46,019
(A.P., Karnataka, Kerala, Tamilnadu, Andeman, Lakshdweep)
CONFIDENTIAL
LIME STONE RESERVES OF GUJARAT800 6.67%16.58
0.14%
435.313.63%40.04
0.33%
402.313.36%
107.660.90%
540.854.51%
Kutch
Bharuch/Narmada
Junagadh & porbandar
Dahod / Panchmahal
Amreli
Data : Mineral Treasure of Gujarat � published by commissioner of geology & Mining, Gandhinagar 2002Data : Mineral Treasure of Gujarat � published by commissioner of geology & Mining, Gandhinagar 2002
1499.9612.51%
15.290.13%
146.971.23%
3.36%
7982.3866.59%
Sabarkantha
Bhavnagar
Surat
Banaskantha
Rajkot / Surendranagar
kheda
TOTAL � 11987.35 Mn Tons
CONFIDENTIAL
Mn. TonsMn. Tons
Cement Grade Limestone Deposit in the State(about 11% of Country�s deposit) : 12,000 (App)
Cement Production Capacity
Mn. TonsMn. Tons
Cement Grade Limestone Deposit in the State(about 11% of Country�s deposit) : 12,000 (App)
Cement Production Capacity
GUJARAT � THE LAND OF OPPORTUNITIESGUJARAT � THE LAND OF OPPORTUNITIES
Cement Production Capacity (i.e. 8.6% of total capacity) :22.33 Mn tpa
Cement Production Capacity (i.e. 8.6% of total capacity) :22.33 Mn tpa
CONFIDENTIAL GUJARAT � THE LAND OF OPPORTUNITIES
Gujarat is famous for turning challenges into opportunities andharness such opportunities to successful business ventures
Gujarat has about 11% of lime stone reserves but has cementproducing capacity of 8.6% of total Indian capacity
The challenge is to harness the God given gift of substantial limestonereserves and use it for development of the State and the Nation
Beside increasing cement usage within the State, creating Beside increasing cement usage within the State, creating/strengthening infrastructure it may act as a feeder State to otheradjoining State
Gujarat has a large coast line providing sea route access, optimizinglogistics cost
Good road network for on land transportation exist in the Statehowever certain Limestone rich area need improved infrastructure
Skilled & Educated man power is available in the State
And the best of all Business-like Environment exists in the State
CONFIDENTIAL
SUGGESTIONS Kutchh with vast Limestone and other mineral resources has potential to
be developed into an Integrated Industrial City, with State of the ArtInfrastructure facilities, equipped with a modern technology � perhaps amodern version of Jamshedpur
The Industrial City could have large manufacturing base for Cement andBauxite etc. based Industries
A Residential Township with Commercial Complexes, EducationalInstitutions, Health Services and other support services will help inInstitutions, Health Services and other support services will help inattracting professionals and entrepreneurs
Power generation and Distribution network in the area. Thermal, Wind &Solar Power units are already under development in the area
A centralized treated Water source for the Industrial and Domestic Usecould be considered
A comprehensive and consolidated Environment Impact Study could beinstituted for the Integrated City to evaluate real consolidated effect onthe environment. This may, perhaps help in getting EnvironmentClearances for the Projects from MoEF, at a faster pace
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CONFIDENTIAL
SUGGESTIONS
The State may consider the following for development of the Industrial City:
Take up development through PP route.
The State may treat the Integrated City under special Incentive Schemes towards:
Exemption / Deferment of Taxes & Duties
Support on Skill Development Programs of the Industry Support on Skill Development Programs of the Industry
A real �Single Window Concept� would help in expeditiousimplementation of the projects for:
Acquiring Land for the individual projects
Power
Water
Various Statutory clearances
22